Apparently I'm a little late in jumping on this bandwagon and a lot of great suggestions have already been made... I thought CortJ's comment about Rage was interesting, since I've always wanted to like them, since they have some quite good politics, but I think their particular style of music is lamelamelame.
However, here's my list. The length of everyone else's makes me feel a little better, as does the prior knowledge that I'm not by any means the only music geek around.... Sorry about the idiotic little reviews.:
For Indie Cred:
Cat Power, Moon Pix:
Lots of critical acclaim, if that means anything, simple arrangements, a nice voice.
Frank Black & the Catholics, Dog in the Sand:
Frank Black/Black Francis has an uncanny gift for writing catchy rock songs that I would suggest evidences a soul-selling
Jim O'Rourke, Eureka:
Also, it is not on this album, but you should listen to his cover of the Velvet Underground's 'Venus in Furs'
Yo La Tengo, I Can Hear the Heart Beating as One or And then Nothing Turned Itself Inside Out:
Yo La Tengo have a great gift for vascillating between utter popiness (cf. the covers they've done, i.e. 'Little Honda') and nifty experimentalism.
Kings of Conveniece, eponymous:
Good low-key melodic indieage
Low, Things We Lost in the Fire:
"Slowcore"- takes getting used to, but very pretty and so on.
Luna, Romantica:
Excellent guitar-strong folk-influenced indie
Magnetic Fields, 69 Love Songs (esp. Vol.1):
The singer cites his major influence as ABBA, but don't let that scare you, since he has a great voice and good lyrics.
Mary Lou Lord, Got No Shadow:
Arguably got famous for having slept with Kurt Cobain, but she has nice folky acoustic etc.
Neil Halstead, Sleeping on Roads:
He's from the band Mojave 3, and this album is very sleepy and nice, but with strong rhythms.
Neutral Milk Hotel, In an Aeroplane Over the Sea:
Weird noisy catchy songs.
Robyn Hitchcock, Globe of Frogs:
Singer of the Soft Boys, makes interesting surreal pop music.
Rufus Wainwright, eponymous:
Louden(sp?)'s son, somewhat bombastic but fun
Sleater-Kinney, All Hands on the Bad One:
They were that band before the Strokes who were also gonna save rock music for us.
Songs: Ohia, Magnolia Electric Co.:
Weird, "cathartic", simple songs
Sonic Youth, Murray St. or Sister:
Murray Street is a little more stonerish (cf very long solos), Sister's a little faster and weirder, with good Philip K. Dick allusions.
Spoon, Girls Can Tell:
Very "tight" rock.
Decemberists, Castaways and Cutouts:
Singer's voice takes getting used to, but fun and novel.
They Might Be Giants, eponymous or Flood:
Enough's been said about 'em here already...
Wilco, Yankee Hotel Foxtrot:
One of those albums I refused to listen to for a while because the praise for it was so ridiculously unanimous, but it really really deserves it.
"Classics":
Pixies, Surfer Rosa/Come on Pilgrim
Velvet Underground, White Light/White Heat
Big Star, #1 Record/Radio City
Soft Boys, Underwater Moonlight
Stooges, Raw Power
Television, Marquee Moon
Patti Smith, hosss
R.E.M., New Adventures in Hi-Fi
Folk/Blues/Jazz:
Tom Waits, Rain Dogs or Bone Machine
Bob Dylan, Blonde on Blonde and/or Blood on the Tracks
John Zorn, Naked City
Sun Ra, Atlantis
Nick Drake, Five Leaves Left
Any "Best-of" type deals of Robert Johnson, Son House, Skip James, or Leadbelly
P.S. Your categorisation of Philip Glass as "crap" brought a single tear to my eye. Have you seen Koyaanisqaatsi?